Comparison between Economic policies of NDA Government and INC Government.

The NDA (National Democratic Alliance) and INC (Indian National Congress) are two of the major political parties in India that have formed the central government at different points in time. Both parties have implemented economic policies aimed at promoting growth and development in India, but with different approaches and priorities. In this blog, we will compare the economic policies of the NDA and INC governments in India.

Fiscal Policies

The NDA government has focused on fiscal consolidation and reducing the fiscal deficit by implementing policies such as the Goods and Services Tax (GST) and Direct Benefit Transfer (DBT) schemes. The GST is a comprehensive indirect tax that replaced multiple indirect taxes, making it easier for businesses to comply with tax regulations. The DBT scheme aims to reduce leakages in the delivery of subsidies and welfare schemes by directly transferring benefits to the bank accounts of beneficiaries.

In contrast, the INC government has been criticized for implementing populist policies that increased government spending and subsidies, leading to a high fiscal deficit. For instance, the Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA) provided employment and wages to rural households, but its implementation was criticized for leading to leakages and corruption.

Foreign Investment

The NDA government has been actively promoting foreign investment through policies such as the Make in India campaign and the liberalization of foreign investment norms in sectors such as defense, insurance, and retail. The Make in India campaign aims to promote manufacturing and investment in India, with a focus on job creation and reducing imports.

The INC government also promoted foreign investment, but its approach was more cautious and selective. For instance, the government allowed foreign investment in sectors such as telecommunications and retail, but with restrictions on foreign ownership and control.

Infrastructure Development

Both governments have placed significant emphasis on infrastructure development, but with different approaches. The NDA government has focused on building new highways, airports, and ports through initiatives such as the Bharatmala project and the Sagarmala project. These initiatives are aimed at boosting economic growth and creating new job opportunities.

The INC government also invested in infrastructure development, but its focus was more on social infrastructure such as healthcare and education, rather than physical infrastructure.

Employment

The NDA government has launched several initiatives aimed at job creation, including the Skill India mission and the Startup India campaign. The Skill India mission aims to provide vocational training to millions of Indians, while the Startup India campaign aims to promote entrepreneurship and create new job opportunities.

The INC government also launched several employment schemes such as MGNREGA, but its implementation was criticized for inefficiencies and corruption.

In conclusion, the NDA and INC governments have different approaches and priorities when it comes to economic policies. The NDA government has focused on fiscal consolidation, promoting foreign investment, infrastructure development, and job creation, while the INC government has been criticized for implementing populist policies that led to a high fiscal deficit. Both governments have invested in infrastructure and employment, but with different approaches. The success of economic policies depends on various factors, including implementation, monitoring, and effectiveness.